l. The Imperial Japanese Government is directed to cease exercising, or attempting to exercise, governmental or administrative authority over any area outside of Japan, or over any government ofiicials and employees or any o~her persons within such areas.

2. Except as authorized by this Headquarters, the Imperial Japanese Governrnent will not communicate with government ofiicials and employees or with any other persons outside of Japan for any purpose other than the routine operation of authorized shipping, communications and weather services.

3. For the purpose of this directive, Japan is defined to include the four main islands of Japan (Hokkaido, Honshu, Kyushu and Shikoku) and the approximately 1.000 smaller adjacent islands, includiug the Tsushima Islands and the Ryukyu (Nansei) Islands north of 30' North Latitude (excluding Kuchinoshima Island) ; and excluding (a) Utsuryo (Ullung) Island, Liancourt Rocks (Take Island) and Quelpart (Saishu or Cheju) Island, (b) the Ryukyu (Nansei) Islands south of 30' North Latitude (including Kuchinoshima Island), the lzu, Nanpo, Bonin (Ogasawara) and Volcano (Kazan or lwo) Island Groups, and all other outlying Pacific Islands Cincluding the Daito (Ohigashi or Oagari) Island Group, and Parece Vela (Okino-tori), Marcus (Minami-tori) and Ganges (Nakano-tori) Islands], and (c) the Kurile (Chishima) Islands, the Habomai (Hapomaze) Island Group (including Suisho, Yuri, Akiyuri, Shlbotsu and Taraku Islands) and Shikotan Island.

4. Further areas specificallv excluded from the governmental and administrative jurisdiction of the Imperial Japanese Government are the following: (a) all Pacific Islands seized or occupied under mandate or otherwise by Japan since the beginning of the World War in 1914, (b) Manchuria, Formosa and the Pescadores, (c) Korea, and (d) Karafuto.

5. The definition of Japan contained in this directive shall also apply to all future directives, memoranda and orders from this Headquarters unless othenwise specified therein.

6. Nothing in this directive shall be construed as an indication of Allied policy relating to the ultimate determination of the minor islands referred to in Article 8 of the Potsdam Declaration.

7. The Imperial Japanese Government will prepare and submit to this Headquarters a report of all governmental agencies in Japan the functions of which pertain to areas outside oi Japan as defined in this directive. Such report will include a staternent of the functions, organization and personnel of each of the agencies concern ed.

8. A11 records of the agencies referred to in paragraph 7 above will be preserved and kept available for inspection by this Headquarters.